In this second part of the halftime report for Tax Foundation Forum: Making Sense of Profit Shifting, we discuss the key takeaways from the first half of our series on profit shifting (read part I here). In this post, we...
The facts on Missouri’s Tax Climate
6%Individual Income TaxTop rate
6.25%Corporate Income Tax
4.23%Sales and Excise Taxes
$957Property Taxcollections per capita
Missouri's Individual Income Tax System
Missouri's personal income tax system consists of ten brackets and a top rate of 6%. That rate ranks 19th highest among states levying an individual income tax. Missouri's state and local income tax collections per person were $906 in 2012 which ranked 24th lowest nationally.
50-State Table of Individual Income Tax Rates
50-State Table of State Individual Income Tax Collections
50-State Table of State and Local Individual Income Tax Collections Per Capita
Missouri's Corporate Income Tax System
Missouri's corporate income tax system consists of a flat rate of 6.25%. That rate ranks 20th lowest among states levying a corporate income tax. Missouri's state and local corporate income tax collections per person were $63 in 2012 which ranked 9th lowest nationally.
50-State Table of Corporate Income Tax Rates
50-State Table of State and Local Corporate Income Tax Collections Per Capita
50-State Table of State Corporate Income Tax Collections Per Capita
Missouri Sales and Excise Taxes
Missouri levies a 4.23% general sales or use tax on consumers, which is below the national median of 5.95%. The average local sales tax rate is an additional 3.58%. Missouri's state and local governments collect $868 per person in general sales taxes and $397 per person in excise taxes, for a combined figure of $1265, which ranks 12th lowest nationally. Missouri's gasoline tax stands at 17.3¢ (5th lowest nationally), while its cigarette tax stands at $0.17 (lowest nationally.)
50-State Table of State and Local General and Selective Sales Tax Collections Per Capita
Missouri Property Tax Collections Relatively Low
Missouri's state and local governments collected approximately $957 per person in property taxes in 2012, which ranks 15th lowest nationally.
State and local property tax collections per capita by state
Tax Freedom Day Arrives on April 11th in Missouri
Tax Freedom Day is the day when Americans finally have earned enough money to pay off their total tax bill for the year. In 2014, Missouri taxpayers worked until April 11th (15th earliest nationally) to pay their total tax bill. The Tax Freedom Days of neighboring states are: Iowa, April 13th (ranked 19th earliest nationally); Nebraska, April 14th (ranked 23rd earliest nationally); Kansas, April 18th (ranked 19th latest nationally); Oklahoma, April 11th (ranked 15th earliest nationally); Arkansas, April 12th (ranked 17th earliest nationally); and Illinois, April 28th (ranked 7th latest nationally).
Missouri's State and Local Tax Burden Below National Average
Missouri's 2011 tax burden of 9% ranks 18th lowest out of 50 states, and is below the national average of 9.8%. Missouri's taxpayers pay $3380 per capita in state and local taxes.
Missouri's State-Local Tax Burden, 1977-Present
Other States' State/Local Tax Burdens
Map of U.S. Showing all State's Burdens and Ranks
Historical Chart Comparing All States' State/Local Tax Burdens from 1977 to 2009
Missouri's 2015 Business Tax Climate Index Ranks 17
Missouri ranks 17th in the Tax Foundation's State Business Tax Climate Index. The Index compares the states in five areas of taxation that impact business: corporate taxes, individual income taxes, sales taxes, unemployment insurance taxes, and taxes on property, including residential and commercial property. The ranks of neighboring states are as follows: Iowa, 41st, Nebraska, 29th, Kansas, 22nd, Oklahoma, 32nd, Arkansas, 39th, and Illinois, 31st.
State Business Tax Climate Index (full study)
Join the Tax Foundation's fight for sound tax policy Go
Tax By State
For information on your state, select it from the drop-down menu.